Is a Revocable Living Trust in Tennessee Right for You?
There is no one-size fits all approach when it comes to determining whether a revocable living trust in Tennessee is right for you. Making this determination depends largely on the facts of your individual situation.
Reasons for Implementing a Revocable Living Trust in Tennessee
For many families avoiding probate is the primary reason for implementing a revocable living trust. In certain situations avoiding probate may significantly reduce the costs and time it takes to administer a loved-one’s estate. In other situations the costs of implementing and administering a revocable trust may exceed the costs of settling a probate estate where assets pass under a will.
Maintaining privacy is important for many families. A will becomes a public record when offered for probate with the court. A revocable living trust agreement, to the contrary, remains a private document after the death of the grantor. With a trust there may, however, be a loss of privacy during your lifetime. This is because banks and other financial institutions likely will not open new accounts or transfer assets into the trust without first being provided a copy of the trust instrument.
A revocable living trust in Tennessee may help people who own real property in multiple states avoid the added expense and delay of having to enter into probate proceedings in multiple states. A probate proceeding held in a state where the decedent did not die a resident is known as an “ancillary” probate. In most cases, out-of-state real property properly titled in the name of a valid trust agreement will avoid the necessity of having to go through an ancillary probate.
There are many considerations that must be taken into account when determining whether a revocable living trust is right for a Tennessee resident. A licensed Tennessee attorney experienced in trust and estates will be able to advise you on the pros and cons of creating a revocable living trust in based on the facts of your particular situations.